Anticipatory Negotiation: Wise and Successful*

My job is to anticipate the needs of my clients and others, sometimes even before they realize these needs.

AI: Anticipating the needs of others means understanding what someone might need before they explicitly ask for it, demonstrating thoughtfulness and consideration. It involves paying attention to verbal and nonverbal cues….

The Goal of Anticipatory Negotiation (AN)

The goal of AN is to reach a settlement agreement that not only meets the goals of all parties, but goes beyond the goals to the ideal, the target, the best possible solution(s).

AN is a highly skilled, honorable process often used by veteran and experienced negotiators. It calls for a variety of skills including self-awareness and knowing others.

Anticipatory Negotiation emphasizes much planning and critical thinking. This involves what some might call slow thinking and fast thinking.

Slow Anticipatory Thinking*

This type of anticipatory thinking occurs during Negotiation Stage One: Planning. One will note that Planning is so important that it is Stage One followed by Stage Two: Introduction.

Remember the old Abraham Lincoln saying: When I go to meet with a person, I spend 1/3 of my time thinking what I am going to say or do and 2/3 what they are going to say or do.

Stage One covers the following, for all negotiators.

• What are the goals? This includes short, medium and long term.

• What are the issues? What are the priorities of each issue?

• What are the tactics to be used?

• What are the strategies to be used?

• What are the creative options to be considered?

• What is the ideal agreement?

• What are the alternatives to a negotiated agreement? This is often referred to as BATNA (best alternative to a negotiated agreement) and WATNA (worst alternative to a negotiated agreement).

• What is the best medium for this negotiation; that is, does the other negotiator prefer face to face (F2F), telephonic, or electronic? After considering their preference, also research through what medium can the parties make the most of the negotiation process. Some people believe that it is easier to say no telephonically or electronically, rather than F2F.

These questions need to be answered for each negotiator.

Fast Thinking of AN.

According to Wikipedia:

Thinking, Fast and Slow is a 2011 popular science book by psychologist Daniel Kahneman. The book's main thesis is a differentiation between two modes of thought: "System 1" is fast, instinctive and emotional; "System 2" is slower, more deliberative, and more logical.  By recognizing how these systems shape our thought processes, we can unlock new strategies for effective learning.

Knowing Self and Others

This is important to AN.  As outlined by Dr. Gordon Livingston in his famous book, Too Soon, Old; Too Late, Wise, Thirty True Things You Need to Know Now, most folks don’t really change that much. They behave in patterns. So, if an effective negotiator studies the way they have been negotiating and researches the way other negotiators have been negotiating, they form a window into predicting how they will behave in a future negotiation.

Stages of AN

The below stages represent a new integrative, cooperative, collaborative approach to negotiation and problem solving. This is the logical flow of communication most likely to lead to a resolution.

STAGE ONE:  PLANNING  

It is now believed that planning is the first important stage; whereas, in the past folks perceived planning to be actions one takes before the process. “Fail to plan; Plan to Fail.”

STAGE TWO: INTRODUCTION

This is the stage where all parties are identified including their roles. Overall goals will be stated. (I want to enter into a contract with your company.)  Ground rules and guidelines are set.

STAGE THREE:  CLAIM INTERCHANGE

Each side or all of the sides will have an opportunity to describe their situation. Parties will generally work to agree on the facts. Parties will then listen to and value each perspective (opinion).

STAGE FOUR: ISSUE IDENTIFICATION

Each issue will be clearly identified and possibly prioritized. (For example: long term contract, short term contract, dispute resolution clause.)

STAGE FIVE: OPTION GENERATION AND SELECTION

For each issue, options will be identified and tested for workability. The most viable options will then be selected.

STAGE SIX: PLAN OF ACTION/AGREEMENT/PROGRESS

Parties must spend time on this stage so all parties leave with a clear plan of action. Terms and phrases must be clarified.

In the old days, many would take an adversarial approach. The stages: Introduction, Argumentation, Bargaining, Agreement or No Agreement.

Distinguishing Between Options and Alternatives

It is helpful in AN to distinguish between options and alternatives.

Options: Options are ideas that are presented during the negotiation.

Alternatives: Alternatives are used if a negotiated settlement is not reached. Often they are called BATNA’s and WATNA’s. It is powerful to have a number of BATNA’s when entering the negotiation. It gives the negotiator power.

Both options and alternatives demand the skill of creativity. Research demonstrates that the skill of creativity diminishes as people become more mature. Why is this? Most researchers place the blame on the American educational system. This system seems to teach that there is only one answer to each question. An effective negotiator knows that there are many answers, regardless of the question.

The creativity skills vary from person to person, from situation to situation. Sometimes, an idea might pop during a shower or during a run. Other times, ideas might occur during creativity or brainstorming sessions.

How to Achieve AN

Beyond some of the skills noted above, an effective negotiator must learn to trust one’s instincts, one’s intuition, and one’s hunches. These emanate from past experiences.   Malcolm Gladwell, in his book  Blink, sets forth a framework to manage these.

1. Pay attention to instincts

2. Research, and more likely than not, they are right

3. Act upon them

Be aware of the downsides of instincts since sometimes they are guided by inner prejudices and biases.

Conclusion:  What are the Benefits to AN?

One becomes an agile and flexible negotiator. Yes, there is a plan, but people and circumstances might change that plan. That does not bother an AN because they can adapt. They have already anticipated these differences.

• Fewer conflicts, disputes and surprise

• The AN has more confidence, more power

• The AN distinguishes between positions and interests. (This concept was emphasized in the celebrated book Getting to Yes by Harvard Law School Professor Roger Fisher et al.)

*This blog entry was inspired by Michael Bordenick, Concierge, Four Seasons Hotel, Washington, D.C. who practices anticipatory services for all of his Guests.

https://www.fourseasons.com/washington/